Hes East: the deal in depth

Josh Boswell analyses the sale of half of Goodricke and Langwith colleges to Evans Group

Tuesday 22 January 2013

From left, Graham Gilbert, The University’s Finance Director; Alan Syers, Portfolio Director at Evans Property Group; and Philip Ashworth, a Dickinson Dees Partner in charge of their York office, in front of Goodricke College

In the financial year 2010/11 the University generated a profit of £2.7m from selling half of Goodricke and Langwith Colleges to Evans Property Group in the joint ventures, Student Accommodation LLP and Student Accommodation Two LLP.

The deal was announced in August, 2010, four months after the official April opening of Goodricke college.

At the time, Graham Gilbert, the University of York’s finance director, was in charge of the deal.

He said, “We are looking forward to a profitable collaboration with Evans, our joint venture partner”.

Alan Syers, portfolio director at Evans Property Group, said, “We expect that this innovative approach to the ownership and management of student accommodation will deliver long term benefits to both partners.”

Dickinson Dees, York-based Law firm, advised the university during negotiations. Announcing the deal, Philip Ashworth, a Dickinson Dees partner at their York office, said: “This is one of the most significant deals in York over the past 12 months.”

In an online statement Dickinson Dees said, “We were able to introduce the Evans group to the University with a view to Evans making a large equity investment and forming a joint venture with the University to hold, operate and manage the new facility. We advised the University on transferring the investment lease to the joint venture vehicle and then on behalf of the joint venture vehicle in its onward management of the facility.”

“Throughout this transaction we worked closely with the University’s estates and facilities, finance, tax and procurement teams as well as the construction contract’s surveyor.”